XML 42 R13.htm IDEA: XBRL DOCUMENT v3.19.1
Income Taxes
3 Months Ended
Mar. 30, 2019
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes
Income tax benefit was $1.0 million on pre-tax loss from continuing operations of $20.7 million for the three months ended March 30, 2019, as compared to income tax expense of $0.9 million on pre-tax income from continuing operations of $5.5 million for the three months ended March 31, 2018, respectively. The effective income tax rates were 4.8% and 16.4% for the three months ended March 30, 2019 and March 31, 2018, respectively.
The effective tax rate for the three months ended March 30, 2019 varied from the effective tax rate for the three months ended March 31, 2018 due primarily to increased losses incurred in jurisdictions for which no tax benefit is recognized.
The Tax Act enacted new Section 163(j) interest expense limitation rules on December 22, 2017. On November 26, 2018, the U.S. Department of the Treasury released proposed regulations to provide interpretative guidance for the new Section 163(j) rules, with early adoption permitted. The proposed regulations were open to public comment until the end of February 2019 and have not yet been finalized. We have not adopted the proposed regulations for our 2019 tax year. If the proposed regulations are finalized as currently written, they could have a material impact to our Consolidated Financial Statements in the year in which they are finalized.